The Philippine property sector has proven to be resilient in the past years as the entire world battled with the COVID-19 pandemic and its negative effects to the economy. Despite experiencing losses, the Philippine property market showed its ability to recover and do a rebound from this generation’s biggest crisis yet and even showcase growth in such a short period of time.
As many nations of the world still try to bring back what was once a resilient and stable economy, real estate experts and analysts are forecasting a green light to the property sector—one of which is the Philippine property market. It seems that the real estate sector will most likely be able to sustain the growth it has shown for the past year.
The word that real estate professionals use to describe the performance of the property market after the pandemic is “flourishing.” It is surprising to see because the pandemic had a lot of negative, irreversible effects to the global economy which led to some of the most dreaded terms in the present world: inflation and high interest rates.
During the pandemic, the real estate sector experienced a huge amount of loans from clients piling up due to the lack of business across most industries at the time. Of course, the pandemic brought upon a new set of emerging consumer demands and trends that many field were able to take advantage of such as e-commerce and health sector. However, the problems are undeniably overtaking the positive news brought by the crisis at hand.
These days, a good amount of brand new real estate developments in Metro Manila are said to be launched each passing month. Local developers are thriving in a wide variety of real estate offering: office space, retail space, hotel construction developments, logistics real estate sector, etc. To see an industry flourishing and even with a sustained growth just after a short period of time is a good sign not just for the Philippine economy but for the entire world.
Business Process Outsourcing (BPO) is one of the biggest industries in the Philippines. BPO is not just the main driver of favorable demand for the Philippine property market, but it also brings in foreign investments and create more than a million jobs in the country. There are key legislations supporting investments in the Philippines because of the help it brings to the people of the Philippines.
BPO creates a ripple effect, really. Aside from its huge contribution in the Many Filipinos outside the National Capital Region move to the metro and look for residential spaces to live in since most of the jobs are concentrated in this urbanized areas.
When the COVID-19 crisis took the worst turn, many employees were out of job and had to find ways to earn money from home. This caused a major crisis for the residential market because many renters had to leave their place and go back to their hometown due to lack of available jobs in that same period. The amount of non-renewals in residential properties skyrocketed which made it hard for landlords to maintain their rental spaces.
When the lockdowns eased and people can already freely go around, demands for residential spaces received demands again but still unlike its pre-pandemic performance. The past year, despite the increasing number of remote jobs, also known as the “work-from-home” set-up that received its popularity during the pandemic, growth is still expected in both residential and office sector.
The Philippines is one of the top vacation spots in Southeast Asia. Both local and foreign tourists go crazy over the country’s pristine beaches paired with tropical weather. It is a paraside for many travel enthusiasts all over the world.
As the pandemic started to become a thing of the past, many people of different nationalities started to flock over to the Philippines to explore its many islands. Since late 2022, the travel restrictions have started to ease off and the process of traveling became easier as months pass by. When the boarders of neighboring nations opened, the tourism in the country started to be revived and be colorful again.
This is a really good news for real estate. Hotels and homestays have started to receive great demand for bookings once again, as if the pandemic did not even happen. Tourism started to create jobs for many people again and travel-related businesses have started to opened up again after being shut down for more than three years. It was a tough ride but the future looks bright for the tourism sector and the industries it positively affects.
The generation popularly known as millennials is the largest home-buying group right now. Experts and analysts tried to study this generation’s consumer behavior to see a glimpse of how various sectors will be affected by the generalized trends they make in the market.
Millenials have a lower marriage rates compared to their predecessors. This is one of the main reasons why a huge chunk of them are not looking into buying new homes. However, many of them still desire to have their own property—to serve as their long-term investment.
Due to the high inflation rates, it is being taught by financial experts that merely saving money in the bank will not benefit them in the long run as the money’s purchasing power will just get lower as time passes by. Instead, young people are being taught to make investments that will appreciate in the long run because it will help them make more money in the future.
One of the best investments to make is—you guessed it—real estate. A huge percentage of single professionals who are buying homes at an early age despite not having their own families yet is to make an investment that will serve them well in the future. This is why the rent-to-own system is pretty huge in the Philippines because it is a dream for many Filipinos to have their own property. It is both a basic need and also the ultimate sign of success: having a roof over your heard. And not just anyone’s roof, your own roof.
Condominium units are in demand for young people who wants to make a real estate investment and also envision themselves to be living the urban life for the coming years. There are new condominium projects all over the metro which only means that there is a constant demand for people to making a huge investment in the property market.
Needless to say, real estate is an excellent investment. There are a multitude of reasons in saying so such as reaping the benefits of high profit or return rates, massive tax benefits, and its ability to be utilized in growing wealth exponentially. On the other hand, investing in real estate requires a significant amount of financial resources. Even though the industry is pretty resilient and stable, making an investment this huge in one go is still considered high risk. It is important to take extra precautions to make sure that the investment will make a return or at the very least, prevent financial losses.
Aside from treating real estate as an investment, most property’s main use is to serve as someone’s residence. Over the years, the luxury residential market in the Philippines have been making waves in and out of the country. Brittany Corporation, one of the leading luxury real estate developers in the Philippines, have proven its ability to make world-class, premium houses.
In fact, Brittany Corporation’s Portofino Heights in Villar City, Alabang stood out at the Philippine Buyers’ Choice Property Awards, also known as The Outlook 2018 hosted by Lamudi. Portofino Alabang was recognized as the winner of the title “Best Premium House of the Year” because of its stunning portfolio of luxury house and lot for sale in Daang Hari. Portofino Heights is the first phase of Portofino Alabang which is heavily inspired by the chic and elegant style of cosmopolitan Italy. The class old-world charm is its main selling point especially as its luxury houses are surrounded by beautifully landscaped gardens and walkways.
Ready to make the worthy investment to real estate? Live the luxury life with Brittany! Check out their official website to know more of its offering of luxury residential properties located in prime locations in the Philippines.
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